Madison times. (Tallulah, Madison Parish, La.) 1884-1???, 1887-12-17

/ transrn tied to Congress to-day:
| To THE CONGRESS OF THE ,JvrTrD STATES
You are confronteI. At the threshold of YOUR
! legislative dHsirs, with a condition Of the
NATIONAL FINANCES,
! Which imperativcly demands immediate and
careful consideration, Tho amount Of money
annually exaCted, through the operations Of
present laws, from the industries and recc,-
sites of the people, largely exceed The sum
necessary to meet the expenses - the Govern
ment. When We consider that the theory Of
our institutions guarantees TO every citizen the
full enjoyment OF all the fruits Of his industry
as may be his share .5Narus the
careful and economical maintenance
Of tos government which protects
him, 1t is plain that the eXaCtiOu Of more than
this is indefensibe CXtorton, and n culpabe
! betrayal of American fairness and iu-'i~r fAls
wrong inflicted upon those w"C 'car the burden
OF National taxation, 'i1C other wrongs, multi
plies brood IT evil consequences The public
Treasury, which should only exist as a conduit
conveying the peoples tribute 10 its legitimate
onJects OF expenditure. becomes a boarding
r'uce FOR money nccdlessly withdrawn from
trade and the peoples u,c, thus GRIPPING our
National energies, SuSpenGing our country
development preventing investment in pro
ductive enterprise. threatening financial dis
turbance, and inviting schemes OF public plum
der
This condition Of our treasury Is net al
together new; and 10 has more than once OF
late been submitted to the people representa-
tives in Congress, who alone can apply
remedy. And vet the situation still continues.
with aggravated incidents, more than yer
presaging financial CONFUSION and widespread
disaster 1t Will not do TO neglect THIS situation
because its dangers are not now palpably i'm
minent and apparent. They exist none the
less certainly and await the unforeseen and
unexpected occasion wncn suddenly they VIII
be precipitated upon US.
On the Both day OF June. 1885,, the excess Of
revenues over public expenditures, after COM
plying with the annual requirement or the
L Al ~
wear ended June 30, 1886, such excess amounted
10 SO iO5, 54l % and dur ne the year ended June
81, 1881, il reached the sum OF - ljG1, Si9j The
annual contributions to the sinking fund dur
ing the three years above spec tie! amounting
in the aggregate to s13S, DjS, b 80, deducted
from the surplus as stated, were made by call
ing in for that purpose outstanding three per
cent. bonds Of the Government. During the six
months prior to June -, ISL, the sur
plus revenue had grown So large 10y
repeated accumulation, tuat 1t was
feared the withdrawal OF this great
sum OF money needed by the people, would 50
affect the business of the country that the sum
of SO S6i, 100 of such surplus was applied to the
payment of the principal ana interest or the
three per cent bonds still outstanding, and
which were then payable at the option OF the
Government. The precarouS condition OF
financial affairs among the people still needing
relief immediately after the 3Jth day or June,
1887, the remainder of the three per cent. bonds
then outstanding, amounting with principal
and interest TO the sum OF SlSsI.3uO. were
tribution for the current fiscal year. NOtwith-
standing these operations OF the Treasury
Department representations ofdiStress in bust
ness circles not only continued, bat increased,
and absolute peril seemed at hand. In these
circumstances the contribution to the sinking
fund for the current fiscal year was at once
completed by the expenditure OF s2I 6si.?o3.13
in the purchase OF Government bonds not yet
due. bearing four and four and half per cent.
interest, the premium paid thereupon averag-
ing about twenty-four per cent. for the former
Al. 4lna Last Tn nlH
20 this the interest accruing during the current
year upon the outstanding bonded indebted
ness OF the Government was TO some extent
anticipated and banks selected as repositories
of public money were permitted to somewhat
increase their deposits.
While the eXpedients thus employed. 10 re-
lease 10 the people the money lying idle in the
treasury, served TO avert immediate danger,
our surplus revenues have continued to ac-
cumulate, the excess for the present year
amounting on the first day of December to s55,-
258,701. 10, and estimated TO reach the sum of
ell3,OO0,00O on the Goth day OF June next at
which date 1t is expected that this sum, added
TO prior denominations. will swell the surplus
| in the treasury to s140.OO0O00.
There seems to be no assurance that with
such withdrawal from use OF the people :
circulating medium, our business community
may not in the near future be subjected
TO the same distress which was quite lately
produced from the same cause. And while tho
functions of our National Treasury should be
few and simple, and while its best condition
connection with private business interests, yet
when, by perversion of its purposes, 1t idly
holds money uselessly subtracted from the
channels of trade, there seems to be reason fol
the claim that some legitimate means should
be devised by the Government to restore in an
emergency, without waste or extravaganza
such money to its place among the people
| III such an emergency arises there
now exists no clear and undOubtet
executive power of relief Heretofore The
redemption of three per cent bonds, which were
| payable at the option of the Gov rnment, has
| afforded means for the disbursement OF The
excess OF our revenue; but these bonds have
| all been retired and there are no bonds out
standing, the payment OF which we have M
! right to insist upon. The contribution TO IN,
sinking fund, which furnishes the occasion To-
| expenditure in the purchase of bonds has beer
already made for the current year, so that thert
is no outlet in that direction.
| In the present state OF legislation the onl!
| pretense of any existing executive power TO re
store, at this time, any part OF our surplus rev
| enues TO the people by its expenditure, con
sists in the superstition that the Secretary o
the Treasury may enter the market and pur
| chase the bonds OF the Government not yet due
| AZ n rate of premium to be agreed upon.
| The only provision of law from which such
| power could be derived is found in an apprOpri
alton bill passed a number of years ago; and j
Is subject to the suspicion that il was INTENDED
as temporary and limited in its Application In
/ stead OF comforting a continuing discretion an,
| authority. No condition ought to exist whcl
! would Justify the grant Of power TO singh
/ Official. upon MS Judgment OF It's necessity. u
| withhold from or release TO the business Of tn
| people, in an unusual manner, money held Il
| the treasury, and thus affect at his will
| the financial situation of the country; and ]
it is deemed wise to lodge in the Secretary O
| the Treasury the authority in the present junct
| ure to purchase bonds, II should be plainl
vested, and provided, as far as possible, wit
| such checks and limitations as viii define thi
official right and discretion, and Mt the sam
time relieve him of undue responsibility.
In considering the question Of purchasin
bonds as means OF restoring TO circulation
| the surplus money accommodating IN the treas
i ury, il should be borne in mind that premium
must OF course be paid upon such purchase
that there may be large part OF these bond
chased at any price, aud that CON
binatOns among holders who ar
willing to sell, may unreasonabl
enhance the cost of such bonds TO the Govern
ment. 1t has been suggested that the presen
bonded debt might he refunded AT a less rat
of interest, and the difference between the oil
and new security paid in cash, thus finding US
for the surplus in the treasury The success
OF this plan, IL is apparent. must depend upo
the yOlitiCn Of the holders OF the prcsen
bonds; and 1t is not entirely certain that tn
inducement which must be offered them woul
result In more financial beneG to the Govern
ment than the purchase Of bonds, while the LAT
ter proposition would reduce the principal q
the debt by actual payment, instead OF extend
| ing II.
The proposition TO deposit the money held b
the Government in banks throughout tie couu
! try, for use by the people, is, il seems to me
exceedingly objectionable in principle. estat
| fishing too close relationship between tn
| operations of the Government Treasury and tn
business OF the country, and too extensive
commingling OF their money, thus fostering a
unnatural reliance in private business upo
public funds. II this scheme should be adopte
ii should only be done II temporary expt
dent 10 meet an urgent necessity. Legislatiy
and executive effort should generally be in tn
opposite direction, and should have q tendenc
TO divorce, as much and as fast a
can safely be done, the Treasury De